| Historically, government bonds have been an asset allocation staple of sovereign wealth funds. Central bank monetary policy is making a significant impact on sovereign debt markets. In the euro zone alone, 26 percent of European government bonds and 54 percent of German Bunds are trading on a negative yield. These unprecedented low yields have pushed SWFs to reassess their weightings and readjust their portfolios.
There has been a global proliferation of SWFs. Roughly half of the funds came into being during the past eight years; three quarters have been in existence since 2000. A further 22 jurisdictions are considering launching their own SWFs...............................................Full Article: Source
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